Murphy Oil Corporation (MUR)

Payables turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cost of revenue (ttm)	US$ in thousands	216,611	260,799	297,168	337,466	354,802	274,990	230,142	184,755	316,976	342,340	566,339	635,644	1,438,893	1,489,883	1,292,429	1,249,276	315,481	447,646	590,040	728,028
Payables	US$ in thousands	446,891	449,960	584,107	516,855	543,786	539,576	910,009	939,941	623,129	615,436	744,067	538,327	407,097	295,398	366,205	554,557	602,096	575,461	598,466	475,559
Payables turnover		0.48	0.58	0.51	0.65	0.65	0.51	0.25	0.20	0.51	0.56	0.76	1.18	3.53	5.04	3.53	2.25	0.52	0.78	0.99	1.53

December 31, 2023 calculation

Payables turnover = Cost of revenue (ttm) ÷ Payables
= $216,611K ÷ $446,891K
= 0.48

The payables turnover ratio for Murphy Oil Corp. has exhibited fluctuations over the past eight quarters. In Q1 2022, the company had a relatively low payables turnover ratio of 0.04, suggesting a slower rate of paying off its payables. This ratio increased significantly in subsequent quarters, reaching a peak of 0.33 in Q1 2023, indicating that the company was able to efficiently manage its accounts payables during this period.

However, this trend reversed in the following quarters, with a decreasing pattern observed in Q2 and Q3 2023, where the payables turnover ratios were 0.23 and 0.21, respectively. The ratio further decreased to 0.12 in Q4 2023.

Overall, the payables turnover ratios for Murphy Oil Corp. have been mixed, reflecting variability in the company's ability to effectively manage its accounts payables. Investors and stakeholders may want to closely monitor this ratio in future periods to assess the company's liquidity management and vendor payment practices.